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FanDuel and DraftKings have asked a Philadelphia court to dismiss a lawsuit brought by two men who allege the operators’ mobile sportsbook apps and microbetting features contributed to gambling addiction.
According to the filings, the case was brought in Philadelphia Common Pleas Court by Christopher Sage and Terry Thompson. The lawsuit also names the NFL and Genius Sports. Thompson allegedly placed roughly $23 million in bets and lost nearly $1.9 million, while Sage’s combined losses were listed at more than $170,000.
The operators are challenging the case on several fronts. FanDuel argued that it is not a “seller” and that its free app is not a “product” subject to Pennsylvania product liability law. DraftKings made a similar argument. Both companies also said the claims are barred by Pennsylvania’s two-year statute of limitations.
FanDuel separately moved to compel arbitration, arguing Thompson accepted its terms and conditions multiple times, including on Dec. 16, 2025, before the complaint was filed. FanDuel also argued that gambling regulation belongs with the Pennsylvania Gaming Control Board and the state legislature rather than through a private civil damages case.
The broader case could matter beyond these parties because the complaint targets NFL microbetting and alleges the operators used mobile technology and artificial intelligence to steer customers toward those wagers.
The NFL and Genius Sports also moved to dismiss. The NFL said it is only an indirect licensor of raw data and statistics and argued that defending the case would violate its due process rights. Genius Sports argued that any link between its data services and the plaintiffs’ losses is too remote to support liability.
Plaintiffs’ attorney Andrew Rainer pushed back on the motions, saying the defendants were “point[ing] the finger for the harm done to Terry Thompson and Chris Sage at everyone but themselves.”
The plaintiffs have until Aug. 5 to respond. For bettors, the next question is whether the court allows any part of this addiction-based product liability theory to move forward, or sends some claims to arbitration instead.
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Source: As reported by gamblinginsider.com.
